Well Yesterday Morning,While i was reading Times of India(TOI) http://timesofindia.indiatimes.com/business/india-business/Flipkart-needs-big-money-to-keep-delivering/articleshow/15012709.cms Well i don’t believe that.Well if they had shortage of money they would never buy letsbuy .
Is the whole Article Of TOI biased? Or a move to gain TRP?
Flipkart with revenue topping $350 million has had negative gross margins till recently, but just slipped into 2-3 % profit margins after expanding product catalogue. It wants to boost operating margins to 8-10 % in the next one year.
Well Every now and then whenever i visit flipkart.I see That they have added a new section.Right now they almost everything(Expect Cloths,Groccery).Their Flyte Store is India’s First Digital Music store and is already very popular they sell songs for about 6-15 for each.4
In all probability,Chances of flipkart running out of money is 45%.
I Asked Mithun Sinha,He said
“I think if this is the case then first all other Indian E-Commerce sites will close, filpkart will be the last One because it’s the most successfull”
And if flipkart does close down.Its because lately they have been overpricing stuff.And by overpricing i really mean overpriced stuff.
Take for example
A book costs 98 bucks in X.COM and in flipkart also its 98 bucks but now you have to pay shipping charges(30 bucks).Flipkart has over 5000 employes and their own delivery logistic.So i guess this is where most of their money is spent.
Another Flipkart buyer [Name removed] told this
Once something goes out of stock in FK its never restocked, although it may be available elsewhere, for eg: Verbatim 50 Pack DVD(found in ebay by lots), Koss Portapro(found locally), Sony DSC HX9V(it’s widely available elsewhere) and some more, anyone else notice any item like this?
Even i have seen,That Flipkart hardly restocks stuff.It’s like once in a blue moon they restock .
For example,Shogun 2.Is out of stock for about 6 months.
And Guys the main reason why it might FAIL is.Flipkart has now increased the minimum purchase(for free delivery) to 300.So if you buy things less than 300 you have to pay shipping charges,So i don’t see any reason why should i purchase an item under 300 from flipkart.Or is this some move by them.To Make people buy more?Like they don’t have to pay that extra 30?
Flipkart should Re-Start Coupons i feel.
Many People these days say Flipkart’s Service is dipping,Cost’s are going high.Well,Now i guess flipkart has to do something.As already people have started buying from other sites.
Well,I really hope Flipkart.com finds a way to survive :). I wouldn’t want my favorite E-Commerce Website to close down.
Flipkart also spends lots on Advertisements .But I are Hoardings really required?Flipkart already gets good number of orders.They Don’t need to spend money on Hoardings(Each hoardings cost 1 lakh + )
Well,Hope for the best to happen.Nothing more to say.
Thanks for reading